Industrial Chain Integration To Promote Textile And Garment Industry Restructuring

The global textile and garment industry experienced a "dark" year in 2009. In 2010, China's textile industry showed a good momentum of steady recovery.

Data show that from 1 to February this year, the added value of the textile industry increased by 13.4% over the same period last year.

At the same time, exports have achieved positive growth year-on-year for 3 consecutive months, an increase of 89.34%, significantly exceeding market expectations.

Under the background of the obvious improvement of the domestic industry situation, the domestic textile and garment enterprises represented by Ruyi group of Shandong have acquired many well-known foreign brand clothing enterprises.

However, it is worth noting that when foreign enterprises are "acquired", the domestic textile and garment enterprises are also frequently "pferred".

Recently, Lixian County new Qinghe wool textile Co., Ltd. and Sichuan nine star Garments Co., Ltd. and many other textile and garment enterprises have been promoted by the owners of the property rights exchange.

For the intensive mergers and acquisitions of textile and garment enterprises at home and abroad, industry experts say that the financial crisis has brought opportunities for mergers and acquisitions in the textile and garment industry, and the adjustment of the industry pattern dominated by industrial chain integration has just begun.

Besides Ruyi group's extensive search for M & A targets in the world, domestic mergers and acquisitions have been staged simultaneously.

In March 20th, Jiangsu sunshine Limited by Share Ltd and Hongkong Dongsheng Limited signed the "equity pfer agreement". Sun shares were granted 25% stake in Hongkong's Dongsheng with its own capital of 33 million 130 thousand and 900 yuan. After the completion of the equity pfer, sun shares will hold 100% stake in Schweitzer.

At the same time, the reporter learned from the Beijing property exchange that the 37.04% stake of Beijing Guanghua Textile Co., Ltd., which was recently held by Beijing Guanghua Textile Group Co., Ltd., and the 50% shares of Kaifeng ERON Textile Co., Ltd. held by Beijing Jing Mo textile Refco Group Ltd Limited have been successfully sold.

And the pfer of shares of the textile and garment enterprises that are being consulted is not unusual.

Reporters learned from the southwest United stock exchange, Sichuan nine star textile limited liability company pferred the 90% stake in Sichuan nine star garments limited liability company by the way of state-owned shares pfer, with a listing price of only 19 thousand yuan.

As one of the oldest and earliest textiles import and export enterprises in Sichuan, in the fierce market competition, the nine star clothing will eventually escape the fate of "being pferred".

Weinan's knitting factory and Wuxi new Taiping Garments Co. Ltd.

In March 31st, the Weinan state owned assets supervision and Administration Commission pferred the entire property rights of the Weinan knitting mill on the western property exchange. The pfer price was 32 million 376 thousand and 700 yuan.

And the new Taiping is Wuxi Jinde Asset Management Co., Ltd. and Wuxi woolen sweater factory two shareholders at the same time "sale".

The announcement shows that the former owns 78% of the new Taiping, and the sweater factory has 22% stake, and the overall property listing price is 9 million 452 thousand and 800 yuan.

"In such a big era, China's textile and clothing should integrate international resources to make up for many of our differences."

Qiu Yafu, chairman of Ruyi group, said in an interview with our reporter at Ruyi 2010 China clothing forum that at present, Ruyi group is in the process of buying and selling a clothing brand enterprise in Japan.

Previously, Ruyi group has just completed the acquisition of a Italy and a German garment brand enterprise.

Qiu Yafu said that the textile and garment industry should study the integration of the industrial chain and enhance the cohesion and competitiveness of the industry through the integration of the industrial chain.

Undoubtedly, M & A is a shortcut to integrate the industrial chain.

It is through merger and acquisition that Ruyi group has completed the perfect pition from a textile enterprise to a textile and garment enterprise.

The core competitiveness of Ruyi group is to expand itself quickly through large-scale acquisition and acquisition of large scale enterprises.

Qiu Yafu said that China's textile enterprises are weak in brand and poor in marketing concept, so they will buy some mature brand operation enterprises and grow up on the shoulders of giants.

"The domestic textile and garment enterprises have been taking the two vertical and horizontal expansion. The vertical expansion is the extension of the upstream and downstream industry chain."

The first textile net CEO Wang Qian told reporters that factors such as lower purchasing costs under the crisis boosted the expansion of large enterprises, and the trend of polarization in the industry became more and more obvious.

The interaction between upstream and downstream of the textile and garment industry chain has never stopped. In the upstream and downstream industries combination, we should give full play to the advantages of every link and get the effect of 1+1 greater than 2 in the dynamic optimization portfolio so as to grasp the innovative value and seize the new market initiative.

Wang Tiankai, vice president of China Textile Industry Association, said that accelerating the integration of industrial chains and giving full play to the advantages of the industrial chain will be one of the main directions for the future development of the industry.

"In the future, there will be several leading enterprises in the domestic textile and garment industry with relatively perfect industrial chain and relatively high degree of control."

Wang Qian said.